When importing/exporting goods there may be times when duty is paid in excess than what was levied. Such excess payments may be done due to error in customs or via shortage of claim or via low duty rate. In these cases refund can be raised for excess duty payments done & if excess interests has been made then that can also be claimed.
As per Section 27 of the Customs Act, 1962 which says “refund of duty and interest can be claimed either by a person who has paid the duty in pursuance to an order of assessment or a person who has taken up the duty”
“Any person claiming refund of any duty or interest has to make an application in duplicate in the form as prescribed in the Customs Refund Application (Form) Regulations, 1995, to the jurisdictional Deputy/Assistant Commissioner of Customs”.
Procedure for Refund:
A. GENERAL REFUND
A refund application has to be filed as prescribed via CBEC including formats and documents for the same.
- Refund Application: (Part-A, B & C) in proper proforma with proper declaration
- Duplicate Bill of Entry: (Importer’s Original Copy) with copies of invoice & Bills of Lading
- Original TR-6 challan to be filled properly for payment of Customs duty.
- Calculation / Worksheet for the same
- Non-avail of CENVAT credit from the concerned Central Excise Authorities wherever required.
- Order of reassessment to be submitted (in cases where the original assessment has been challenged to qualify for refund).
- Order of Commissioner (Appeal), CESTAT/High Court, wherever applicable.
- Original Chartered Accountant Certificate for not passing on the burden to other parties
- All relevant documents to substantiate their claim for Unjust enrichment like Balance Sheet, Schedule et
B. REFUND OF SAD
A refund application must be filed for applying SAD Refund as prescribed via CBEC including formats and documents for the same
Required Documents for 4% SAD refund
- Refund Application (Part-A, B & C) in proper proforma with proper declaration
- Duplicate Bill of Entry (Importer’s Original Copy) with copies of invoice & Bills of Lading
- Original TR-6 challan to be filled properly for payment of Customs duty.
- Original Sales Invoices & list to be submitted containing (Invoice No., Date, Amount of ST/VAT paid on imported goods for which Refund is claimed)
- Calculation / Worksheet for the same
- Self-Declaration Form
- All original challans evidencing payment of Sales Tax /VAT & detail of invoices
- Original Chartered Accountant Certificate for not passing on the burden to other parties
- All relevant documents to substantiate their claim for Unjust enrichment like Balance Sheet, Schedule etc
How to apply for CUSTOM DUTY REFUND?
- The refund application is to be filed within 1 year from the date when payment of Customs duty has been made i.e. within 1 year of TR-6 Challan date.
- Only 1 refund application per month for 1 importer is permitted
- The application filled in all respects has to be submitted to Appraising Refund Section of the relevant Customs House upon which a dated acknowledgement has to be obtained for the same.
